Case Study – Risk Management of the FIFA World CupBig Events, Big Risks: Lessons From Brazil’s World CupBy Jacqueline DayBRASÍLIA – For a month this past summer, billions of fans around the world stayedglued to televisions broadcasting the FIFA World Cup from Brazil. Millions moredescended on Brazil to watch the games in person. They came despite the variouswarnings about Brazil’s readiness to host and fears of widespread, violent protests.Yet, as it should be, the tournament will mostly be remembered for the drama thatplayed out on the pitch: from the Brazilian team’s epic collapse against Germany andthe controversy that erupted when Uruguay’s Luis Suarez (some would sayallegedly) bit an Italian opponent, to the emergence of Colombian star JamesRodriguez.That the tournament will be remembered first and foremost for the soccer was nosmall feat and, frankly, a massive surprise. Thousands of corporate VIPs, celebritiesand world leaders descending upon a country known for its security, logistics andinfrastructure challenges was worrisome enough. Such a backdrop, combined withthe disruptive social unrest that flared unexpectedly in 2013, could have easilyshifted the storyline away from the sporting competition itself. That it did not is atestament to the hard work and careful preparation of the legions of public andprivate sector workers, as well as to the Brazilian people’s devotion to “the beautifulgame.”The Brazilian security forces deserve plenty of credit. They took active measures toaddress lessons learned from the 2013 FIFA Confederations Cup, effectivelymanaging and containing the smaller-scale protests that did occur, and critically,avoiding the heavy-handed tactics that only aggravated matters in 2013. They werehelped by two additional factors. First, many Brazilians who had previously engagedin legitimate and peaceful protest activity during the Confederations Cup werealienated by the violent tactics of anarchist groups, the so-called Black Blocs, withwhom they did not want to be associated. Second, in keeping with custom, mostBrazilians cared more about watching the matches than taking to the streets. EvenBrazil’s crushing loss to Germany—an event that caused security directors tocollectively hold their breath—failed to galvanize the masses to take back to thestreets.But for the scores of companies with a role in the World Cup trying to manage theuncertainty and sheer complexity of the event, a successful tournament requiredsignificant resources and an entirely different dimension of planning driven by worstcase assumptions.This is nothing new—similar challenges exist for every major sporting event—butevery country is different, bringing with it unique challenges. Security concerns alsopreceded the 2010 World Cup in South Africa and the Winter Olympics in Sochiearlier this year, but the basic infrastructure and seeming lack of adequatepreparation in Brazil intensified concerns of catastrophic failure.Lack of infrastructure complicates everything. Concerns over the capacity of Brazil’stelecommunications networks to handle the massive influx of international visitorssending out regular updates with photos and videos across the Twitter sphere meantthat companies’ security teams needed to find multiple other ways of communicatingto ensure resilience. Moving people around the country was also quite difficult. Brazildeclined to enlist foreign air carriers in adding capacity for domestic flights, so flightswere expensive and booked up quickly. Yet air travel was the only truly viable meansof moving throughout the country, given the poor and dangerous conditions ofBrazil’s roads and the complete absence of a rail network. Buses were a good optionfor budget travellers, but eight-hour bus rides don’t exactly fly with a bank executiveor global music superstar – no matter who is playing that day. Armoured andexecutive-class vehicles were completely booked up nearly a full year in advance,with providers demanding 100% payment in advance in order to secure the contract.Business-class hotel accommodations were also in extremely short supply, andorganizations that did not book well in advance found themselves out of luck, oftenwithout a safe place to house their people.Early preparation and planning can overcome many of these obstacles, but when itgets down to brass tacks, the recipe for success requires major event and localLOCM +0% expertise. Major event expertise ensures a thorough appreciation of theuniqueness of the operating space along with the core requirements andexpectations of the business, and above all, the art of managing complexity. Localexpertise is essential for understanding local context and defining the realm of thepossible – particularly when language is a barrier. Finding qualified securityoperators who speak the local language, are attuned to local social dynamics, canliaise effectively with local security agencies and embrace a corporate mindset arehard to come by, but their capabilities are indispensable. Together with major eventexpertise, reliable local expertise helps align the pieces of the jigsaw-puzzle thatcomprises a major event security operation.Ensuring access to timely, accurate information during the World Cup in Brazil wasone of the biggest challenges companies had to overcome. Media broadcastsdeliberately blacked out coverage of certain events, such as a stadium-wideprofanity-laced chant taunting President Dilma Rousseff at the opening match in SaoPaulo. They cut away from the pitch when a streaker interrupted the final match, andthe world only learned of the disruption thanks to LeBron James’ Instagram feed.Indeed, social media proved an invaluable source for generating a real-time pictureof the operational environment. But so did the unprecedented level of informationsharing and collaboration among the companies themselves –now an undisputedbest practice model for future major sporting events.Even with advance planning, the right experts and a robust intelligence network,there are limits to what an organization can achieve in and around such a massivesporting event. For companies participating in the World Cup, the biggest factor forsuccess was setting realistic goals. Companies that tried to do too much too latefound themselves hamstrung. Those who started with a clear-eyed vision of whatwas feasible were better able to get their arms around all the moving parts – and hada great time… unless they were pulling for the home team to hoist the trophy.Jacqueline Day is managing director for Crisis and Security Consulting at ControlRisks, the global risk consultancy.Day, J. (2014) Big Events, Big Risks: Lessons from Brazil’s World Cup Available athttps://www.forbes.com/sites/riskmap/2014/09/29/big-events-big-risks-lessons-frombrazils-world-cup/#41bdc4b51120 (Accessed 05/09/2017)
